1 comments:

Chetan Dashrath
said...

Order should be clear like Tamilnadu.....where as relief given by AP Govt. is Eye wash......

The government of Tamil Nadu has decided to rollback the 5 percent Value Added Tax (VAT) on fabrics. The July 12 order that imposed VAT was applicable to a range of fabrics and related products that fall under Schedule IV, section 3-10 of the VAT Act 2006.

A broad range of fabrics with industrial applications will also be exempted from VAT in the State.The decision to exempt fabrics from VAT was taken after several representations were made by the textile sector seeking the same.

The textile industry in the State is going through a bearish period due to the sluggish demand in global markets. This has impacted exports and stocks are piling up. The levy of VAT decreased the textile sector’s ability to compete with the neighbouring States where VAT was not applicable.